Baidu's most recent trend suggests a bullish bias. One trading opportunity on Baidu is a Bull Put Spread using a strike $175.00 short put and a strike $165.00 long put offers a potential 14.29% return on risk over the next 8 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $175.00 by expiration. The full premium credit of $1.25 would be kept by the premium seller. The risk of $8.75 would be incurred if the stock dropped below the $165.00 long put strike price.
The 5-day moving average is moving up which suggests that the short-term momentum for Baidu is bullish and the probability of a rise in share price is higher if the stock starts trending.
The 20-day moving average is moving up which suggests that the medium-term momentum for Baidu is bullish.
The RSI indicator is at 60.68 level which suggests that the stock is neither overbought nor oversold at this time.
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Fri, 10 Jan 2014 22:30:13 GMT
Bloomberg – Baidu Inc., China’s largest search engine company, rose after Maxim Group LLC raised it to buy, helping Chinese shares in the U.S. rebound from the lowest level since November. Yanzhou Coal Mining Ltd. …
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